Maple-Brown Abbott looks to Asia

Fund manager Maple-Brown Abbott, founded by the late industry doyen
Robert Maple-Brown
, hopes to attract larger inflows into its Asia funds in 2013 after its net profit fell 20 per cent in 2011-12.

Maple-Brown Abbott managing director
Garth Rossler
said inflows into the company’s Asian strategies had been slower in the past three to four years as investors chased returns from resource-focused emerging markets such as China and Russia.

“With resources and commodity prices looking to be under more pressure, we hope for growth from that [Asia ex-Japan] space," he said.

The group manages about $1 billion in its Asia business and $7 billion across its Australian funds.

The comments came after Maple-Brown Abbott reported a $13.08 million net profit for the year to June 30, down from $16.4 million last year.

“It’s difficult," Mr Rossler said of the operating environment. “Retail funds are generally having outflows. The market is obviously weak."

The Australian sharemarket fell more than 10 per cent over the past financial year as investors remained guarded due to sovereign debt uncertainty and banking system issues in Europe, the firm said in financial statements lodged with the Australian Securities and Investments Commission.

Maple-Brown Abbott’s revenue fell a marginal 3 per cent during the year, although the results were buoyed by 10 months of additional revenue from three retail funds purchased from Westpac subsidiary Advance Asset Management.

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“These funds have been rebranded under our name, and this is the first time that retail investors can directly access Maple-Brown Abbott’s Australian equity products," the fund manager said.

The company’s expenses climbed around 6 per cent for the year, although this was “distorted" by extra costs from the acquisition of the Advance funds, it said.

Maple-Brown Abbott founder and chairman Robert Maple-Brown passed away in early August from a heart attack after a seven-year battle with multiple myeloma, a form of blood cancer. “Under his guidance and drive, the firm has grown from humble beginnings to become a successful investment management organisation.," the company said.

The fund manager appointed former QBE chief executive and chairman
John Cloney
as chairman last month.